Penn State originally founded an education center in the area in 1934, as part of an initiative to provide localized learning facilities that could grant associate degrees or allow students to complete the first two years of a bachelor's degree without the expense of living in University Park. However, the center was closed in the 1940s due to World War II. In the 1950s, the commonwealth campus system was established and local branch campuses, each fully integrated into the Penn State system, were established across the state. Fayette Campus opened in 1965; originally it was housed in rented space in Downtown Uniontown, before relocating to its current site three years later.
In 2004, the campus was named for Robert E. Eberly, a wealthy Pittsburgh natural gas speculator who endowed his fortune to Western Pennsylvania higher education.